Internal Labor Regulations in Vietnam: What Employers Need to Know

Internal Labor Regulations in Vietnam

Internal labor regulations are an important legal and HR management document for employers in Vietnam. They set out workplace rules, employee obligations, disciplinary violations, disciplinary measures, material liability, and other standards that employees must follow during their employment.

What are internal labor regulations?

Internal labor regulations are rules issued by an employer to govern employee conduct at the workplace. They provide a framework for labor management and are an important basis for handling labor discipline.

In practice, this document usually covers matters such as:

  • Working hours and rest periods;
  • Workplace order;
  • Occupational safety and hygiene;
  • Prevention of sexual harassment at work;
  • Protection of company assets, trade secrets, technology secrets, and intellectual property;
  • Acts considered violations of labor discipline;
  • Corresponding disciplinary measures;
  • Material liability;
  • Persons authorized to handle labor discipline.

In other words, workplace rules help both the employer and employees understand what is expected in the employment relationship.

When must employers issue internal labor regulations?

Under Clause 1, Article 118 of the 2019 Labor Code of Vietnam, an employer with 10 or more employees must have written internal labor regulations.

This means:

  • Employers with 10 or more employees are required to issue written rules;
  • Employers with fewer than 10 employees are not required to have a written document, but labor discipline and material liability should still be agreed in the labor contract or other appropriate form in accordance with the law.

A notable point under the 2019 Labor Code is that the obligation applies to employers, not only enterprises. Therefore, entities such as organizations, non-business units, foreign agencies, private educational institutions, healthcare facilities, sports establishments, households, and individuals may also be subject to this requirement if they employ 10 or more workers.

Why are internal labor regulations important?

A well-prepared set of employment rules is not only a compliance requirement but also a useful management tool.

For employers, it helps to:

  • Maintain workplace order and discipline;
  • Establish clear standards of employee conduct;
  • Provide a legal basis for disciplinary action;
  • Prevent labor disputes;
  • Protect assets, confidential information, and intellectual property;
  • Promote a safe and professional work environment.

For employees, it helps to:

  • Understand their rights and obligations;
  • Know what conduct is prohibited;
  • Be aware of possible disciplinary measures;
  • Ensure transparency and fairness in the workplace.

Clear and properly communicated rules can reduce misunderstandings and support a more stable employment relationship.

Key principles when issuing internal labor regulations

When preparing workplace rules, employers should comply with several important principles under Vietnamese law.

The content must not violate the law

Under Clause 2, Article 118 of the 2019 Labor Code, the content of internal labor regulations must not be contrary to labor law or other relevant laws.

This means employers should not include provisions that reduce employees’ statutory rights or impose unlawful obligations.

For example, company rules should not provide for:

  • Monetary fines as a substitute for disciplinary action;
  • Salary cuts as a disciplinary measure;
  • Disciplinary forms not recognized by the Labor Code;
  • Restrictions on statutory leave entitlements;
  • Disciplinary action for conduct that is not clearly regulated.

If the content is inconsistent with the law, the relevant provision may be invalid or unenforceable.

Consultation with the employee representative organization

Before issuing, amending, or supplementing internal rules, the employer must consult the employee representative organization at the grassroots level, if such organization exists.

This consultation requirement is intended to ensure transparency and give employees a voice in rules that directly affect their working conditions and disciplinary obligations.

The consultation process should be properly documented and retained as part of the employer’s compliance records.

Announcement and publication at the workplace

After issuance, the employer must inform all employees of the regulations. The main contents must also be posted at necessary places in the workplace.

This is important because employees can only be expected to comply with rules that have been properly communicated and made accessible to them.

Main contents required under Vietnamese law

Under Decree 145/2020/ND-CP, internal labor regulations must include the following key contents.

Working hours and rest periods

The document should specify rules on working time and rest time, including:

  • Normal working hours per day and per week;
  • Work shifts;
  • Start and end time of each shift;
  • Overtime work, if applicable;
  • Overtime in special cases;
  • Breaks in addition to statutory rest breaks;
  • Rest between shifts;
  • Weekly days off;
  • Annual leave;
  • Personal leave;
  • Unpaid leave.

These provisions are important for timekeeping, payroll calculation, shift management, and handling violations relating to attendance or working hours.

Workplace order

Employers should set out rules on order and conduct at work, such as:

  • Areas where employees are allowed to work or move during working hours;
  • Workplace behavior and communication standards;
  • Dress code or uniforms, if applicable;
  • Use of employee cards or access cards;
  • Compliance with lawful assignment and management instructions;
  • Use of phones, internet, email, and company equipment.

These rules help maintain professionalism and reduce disruptions in daily operations.

Occupational safety and hygiene

The regulations must include employee responsibilities relating to occupational safety and hygiene, including compliance with:

  • Internal safety rules and procedures;
  • Measures for preventing occupational accidents and diseases;
  • Fire prevention and firefighting rules;
  • Proper use and preservation of personal protective equipment;
  • Safe operation of machines, tools, and equipment;
  • Workplace hygiene requirements;
  • Disinfection or decontamination procedures, where necessary.

For industries with higher occupational risks, this section should be drafted carefully and tailored to the employer’s actual operations.

Prevention of sexual harassment at the workplace

Vietnamese law requires employers to include rules on the prevention and handling of sexual harassment at work.

This section should address:

  • Conduct that may constitute sexual harassment;
  • Responsibilities of employees and managers in preventing harassment;
  • Procedures for receiving and handling complaints or reports;
  • Protection of victims, complainants, and witnesses;
  • Disciplinary measures for violations.

This is an important part of building a respectful, safe, and inclusive workplace.

Protection of assets, trade secrets, technology secrets, and intellectual property

Employers should clearly regulate the protection of company property and confidential information, including:

  • Categories of assets and documents that must be protected;
  • Trade secrets and technology secrets;
  • Intellectual property;
  • Employee confidentiality obligations;
  • Prohibited acts involving unauthorized disclosure, use, access, copying, or transfer of information;
  • Measures applicable in case of violations.

This section is particularly important for businesses that handle customer databases, production formulas, software, technical processes, business strategies, or other valuable confidential information.

Temporary transfer to another job

The rules must specify cases where the employer may temporarily transfer an employee to a job different from the one stated in the labor contract.

This content should be consistent with Article 29 of the 2019 Labor Code and should not be drafted too broadly or arbitrarily.

Common situations may include:

  • Unexpected difficulties caused by natural disasters, fire, or dangerous epidemics;
  • Measures to prevent or remedy occupational accidents or diseases;
  • Electricity or water supply incidents;
  • Business or production needs specifically stated in the workplace rules.

A clear provision helps employers manage operational changes while reducing the risk of disputes.

Disciplinary violations and corresponding measures

The regulations must specify:

  • Acts considered violations of labor discipline;
  • The disciplinary measure applicable to each violation.

Under the 2019 Labor Code, the recognized forms of labor discipline include:

  • Reprimand;
  • Deferral of wage increase for up to 6 months;
  • Demotion;
  • Dismissal.

Employers should not create disciplinary measures outside those permitted by law. They should also avoid vague descriptions of violations, as unclear rules may be difficult to enforce in practice.

Material liability

The document should also address material liability where an employee causes damage to the employer, such as:

  • Damaging tools or equipment;
  • Causing damage to company property;
  • Losing tools, equipment, or assets;
  • Consuming materials beyond permitted limits;
  • Compensation levels corresponding to the degree of damage;
  • Compensation method;
  • Person authorized to handle compensation matters.

These rules should be drafted in line with the Labor Code to avoid excessive or unlawful compensation claims against employees.

Persons authorized to handle labor discipline

The employer must identify the person authorized to handle labor discipline.

This may be:

  • The person authorized to enter into labor contracts on behalf of the employer under Clause 3, Article 18 of the 2019 Labor Code; or
  • Another person specifically named in the internal rules.

Correctly identifying the authorized person is important. If disciplinary action is handled by an unauthorized person, the decision may be challenged.

Must internal labor regulations be registered?

Employers with 10 or more employees must register their internal labor regulations with the labor authority under the provincial People’s Committee where the employer has registered its business.

Within 10 days from the date of issuance, the employer must submit the registration dossier.

The dossier generally includes:

  • A written request for registration;
  • The internal labor regulations;
  • Written comments from the employee representative organization at the grassroots level, if any;
  • Other employer-issued documents relating to labor discipline and material liability, if any.

The regulations take effect 15 days after the competent authority receives a complete registration dossier, unless the authority identifies unlawful contents and requests amendment or supplementation.

What should employers do after issuance?

After issuing the regulations, employers should:

  • Send the document to each employee representative organization at the grassroots level, if any;
  • Notify all employees;
  • Post the main contents at necessary locations in the workplace;
  • Keep records of consultation, issuance, registration, and announcement;
  • Review and update the document when laws change or when business operations, organizational structure, or work processes are modified.

A document that is issued but not properly communicated may be difficult to apply, especially when handling disciplinary cases.

Practical compliance notes for employers

To make workplace rules effective and legally compliant, employers should consider the following:

  • Ensure all contents are consistent with the Labor Code and guiding regulations;
  • Avoid monetary fines or salary cuts as disciplinary measures;
  • Clearly define violations and corresponding disciplinary measures;
  • Include rules on sexual harassment prevention and handling;
  • Specify cases of temporary job transfer;
  • Consult the employee representative organization, if any;
  • Register the regulations where required;
  • Communicate and post the main contents at the workplace;
  • Review the document periodically to ensure it remains updated.

A good set of rules should not simply repeat the law. It should reflect the employer’s actual business operations, work processes, management model, and workplace culture.

Legal basis

  • 2019 Labor Code of Vietnam;
  • Decree 145/2020/ND-CP guiding the Labor Code on working conditions and labor relations.

Conclusion

Internal labor regulations are a key document for managing employees and maintaining workplace discipline in Vietnam. Employers with 10 or more employees must issue written rules and register them with the competent labor authority.

To be enforceable and effective, the document should contain all required contents, comply with the law, be consulted with the employee representative organization where applicable, and be properly communicated to all employees.

Well-drafted workplace rules help employers strengthen labor management, reduce disputes, protect company interests, and create a transparent, professional, and compliant working environment.

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